Health Management Systems, Inc. (Nasdaq: HMSY) announced the sale of its wholly-owned subsidiary, Health Care Microsystems, Inc., to Avega Health Systems, a company organized by the original founders and management of Health Care Microsystems. Avega will continue to offer the Alliance suite of products, which are recognized as the industry leader in healthcare decision support. The Alliance products combine financial, clinical and administrative data for healthcare organizations with complex modeling and reporting capabilities. “Avega’s strategic agenda is to (i) capitalize on the superior positioning of Alliance, (ii) extend our offerings to accommodate the increasing demand for our ASP/Outsourcing alternative, and (iii) expand our current data warehousing capabilities,”said Thomas J. Kazamek, Senior Vice President, Product Planning and Development and original co-founder.

Duff & Phelps, LLC, a Chicago-based investment banking and financial advisory firm, initiated this management buyout and acted as exclusive financial advisor to Avega Health Systems.